Scenario For the past twenty five years, NVV, a small family company established by Sushma Napa's grandfather, has been involved in the bottling and international marketing of natural and flavoured waters, with the water sourced from Wombat Springs under a 20 year exclusive supply contract. This was not the company's original focus but as wine production in many countries expanded in the 1980s, competition grew too fierce in the international markets damaged with the mass marketing of poor quality "chateau cardboards" by the big producers. Trading under the brand "Napa Valley Waters" it has gained a reputation for quality in various overseas markets, and over the past year has successfully expanded its product range to include natural fruit juice/spring water blends. Three months ago, after carrying out extensive experimentation in blending different varieties of grapes from local and international sources, it relaunched a small range of high quality wines aimed at the top end of the market, using the names originally applied to the range prior to the abandonment of this aspect of its business. The company has so far managed to sell all the wine it can produce at premium prices. However, and despite the success of this relaunch, NVV's long-term success is by no means assured: its market position is under attack from other wine producers and mass water bottlers, its input costs are constantly increasing and its future ownership and control uncertain. In a series of discussions with Adam, an old friend and business advisor, Sushma explores ways of assuring the future of NVV. Adam is of the view that the time is right for international and nationwide expansion of the wine aspect of the business, and suggests Sushma meet Manpreet, the Managing Director of Yarra Valley Vino (YVV), who is looking for a partner. This meeting is yet to take place. Sushma and her husband Gordon have three children. Ariana, the eldest, is completing a business degree and is keen on joining the company. She has some ideas for expansion she would like to try, including establishing a network of small café/winebars specialising in NVV products. She thinks that by having degustation menus featuring NVV products and those of local organic food producers, customers will spread the message about their quality and value. Sushma is not so sure and is concerned that the cost of this venture will be unrecoverable if things go wrong. Sasha is the youngest, and in the final year of school. Sasha plans to do a science degree specialising in oneology, or wine making. The program she wants to do has a mandatory one year internship at a winery in provincial France during which, for students to experience total immersion in the wine experience, they have minimal contact, and even then only at specified times, with their families back in Australia. Tom is the middle child. Sushma and Gordon are worried about him as he seems not to have any particular objective to achieve or passion, apart from spending money. He has not proven to be reliable or focused, having dropped out of university several times and not showing any real enthusiasm for getting a job. He seems to think that the company should be sold and the money distributed to him and his two siblings. The one thing he does have is a lot of charm – both his siblings adore him and think he can do no wrong. Sushma knows he has been working on them to bring them round to his point of view on the future of the company. They don't agree with him yet, but Sushma and Gordon believe it is only a matter of time. Sushma wants to ensure Tom does not starve but is worried about the implications of his being involved in the decision-making for the company. The company has three long-serving key employees. Lee has been in charge of marketing for 10 years. It was he who suggested the relaunch of the range of wines and the one who used his industry contacts to identify and negotiate with the restaurants to stock and promote those wines. He knows a lot about the company and its business and Sushma is concerned that Lee stay, not just to continue to support and assist the company, but also to ensure no competitor can tap into his knowledge and skill. Adrienne has managed the waters business for the last 7 years and has extensive knowledge of the industry, competitors and suppliers. Finally Sohara, who has been working at NVV for five years, is an expert in grape growing, transportation and storage. Sushma believes that the company would collapse without these three employees and wants to persuade them to remain with NVV. She is worried that while their personal loyalty to her will have them stay in the short term, if and when she is gone, they will look elsewhere.One week ago, Sushma sees an article on the front page of the local community newspaper about Mrs Nitro Noble (a local resident). Mrs Noble describes how Blondel, of Blondel Bins, a local food discount outlet, recommended she purchase "Napa Valley Vino Cold Duck Varietal, Gold Medal Winner at the RSP Competition" as the feature wine for her annual dinner party, a famous local affair. Mrs Noble then goes on to explain the disaster this proved. First, her most important guest discovered that the wine, despite being described as "red" on the label, was actually bright orange. Secondly, although the wine was described as "100% Australia made" on a stick-on label, the information under this label reported that the grapes used in it came from Bulgaria and Chile. Finally, one of her guests, who had been a judge at the RSP Competition, loudly announced to all the guests that "this wine is horrible. It certainly did NOT get a gold medal from us". Mrs Noble declares that she expects compensation from NVV, not only to cover the cost of the wine but to cover her humiliation and embarrassment over the fiasco. On investigation, Sushma discovers that although some wine produced during the experimentation period was sold by NVV to Blondel Bins, it was in plastic bottles clearly labelled "for cleaning purposes only, not suitable to drink". Sushma is disturbed by a letter she receives from Harvey Wallbanger, who purchases juice concentrate (that would otherwise normally be blended with Wombat water) from NVV for distribution to business clients. Harvey is complaining on behalf of several of his customers who own prestigious professional practices and who supply their clients with high quality juices as an alternative to coffee and tea. Harvey describes the experiences of several of these clients as "traumatic", including that of the patient of a medical practice who suffered severe food poisoning as a result of drinking juice well beyond its stated use-by date; the dental patient who found his fillings dissolving from a chemical reaction between them and the juice, and the lawyer's client who found holes in his $2000 suit after spilling a glass of juice down his front. Sushma suspects that Harvey may have caused the problems when reconstituting the juice for sale. She knows from past history that not only does Harvey often keep the juice too long before sending it to his customers, but also that his main source of clean water dries up in the summer. Consequently, he often has to resort to the water in an old well. Winter Wines is a new company that has been operating in the country for six months and, with a successful marketing/launch campaign, has succeeded in obtaining a significant market share. However, it is yet to make any great impression on NVV's main geographic and sector (business) markets. Mira, the local Manager for Winter, comes to see Sushma with a business proposal. She suggests that NVV, in return for marketing advice and support, enter a market arrangement with Winter, whereby they divide the local market between them in a reasonably equal way, agree not to invade each other's market space, and agree not to undercut each other's prices.Finally, Gordon rings Sushma with the disturbing news that on his weekly visit to Fines Wines, the local specialist wine shop, he discovered a whole shelf of what look like NVV products (but aren't). The bottles look like theirs, have similar labels (with similar illustrations), similar size and design print and the same names applied to the wines. He tells Sushma he purchased a bottle and has tasted it – "horrible" is how he describes it – acidic, sweet and bitter all at the same time, and with a nasty aftertaste. He also reports that he found reference to the website of the producer (stated as Nappa Vly Wines or NVW), from the back label on the bottle and found a site that looks extremely similar to the one for NVV. On that site, he tells Sushma, is reference to an exclusive contract between NVW and Wombat Springs for the supply of water to use in the production of wine. When Sushma contacts Miriam at Wombat Springs to get an explanation, she is told Wombat is thinking of stopping the supply of water to NVV because NVW has offered more money. When Sushma points out they have a contract, Miriam hangs up.Answers these questions 1. Should explored and offer solution to legal issues relating to the structure and controlled of the business known as NVV. I you should consider the legal implication of the alternatives available to the company.2. Should analyse the legal issues that have arisen in relation to the practice and act of company and its members. You should examine the bases of legal action, any defences that may be available. Around 600 words (total)No need to references